ForexLive Asia-Pacific FX news wrap: Slower CPI growth in China in March | Forexlive

The
USD strength seen on Monday (US time, Europe was out for Easter) was
retraced to varying degrees here during the Asia time zone. AUD, GBP,
CAD, EUR, NZD all up on the session.

Fresh
news was fairly light. The Australian dollar took a bit of extra
support from the news that Australia and China had reached agreement
over a trade issue. China is reviewing its effective trade bans on barley. This is a notable step towards easing of restrictions on A$20 bn worth of Australian products.

Japan’s
Nikkei media reported Warren Buffett is considering adding to his
investment in Japanese stocks.

On
data, AUD also got a little support from steady business conditions
and an improvement (albeit still net pessimistic) in business
confidence reported from the National Australia Bank Business Survey
for March.

Data
from China for inflation in March showed CPI coming in well under
expectations and below the February reading. Chinese authorities will
not be held back by inflation pressures should they wish to boost
stimulus into the economy.

Bitcoin
climbed, heading
above US$30,000
for the first time since June 2022.

The
Bank of Korea held its benchmark interest rate at 3.5%, in line with
expectations, and for the second meeting in a row.

While on central banks, the Hong Kong Monetary Authority (HK’s central bank) bought 3.8 bln HKD at 7.8500 during New York time to defend the drooping HKD. This is the 2nd such intervention by the HKMA in April already.

Asian
equity markets: